Grading the Ricky Rubio deal with Cavs from all angles

Grading Ricky Rubio deal with Cavs: Contract Value

It has been reported that Ricky Rubio signed for three years and $18.4 million, which is a little under the full amout possible for the Taxpayer Mid-Level Exception. The Cavs preserved a small sliver of that exception in case they wish to sign Isaiah Mobley to a longer deal (unlikely; he should start the season on a two-way) or more likely to save room under the cap for a Collin Sexton extension.

Rubio’s deal is fully guaranteed for two seasons, and then only partially guaranteed on the third year. It’s a significant pay cut for Rubio, who made an average of $17 million over the past three seasons. Spotrac estimates that Rubio’s deal will start at $5.84 million this season, or about a half million less than the full MLE.

It’s possible that the Cavs work with the Indiana Pacers to make this a sign-and-trade; in that scenario the Cavs will retain their MLE and could open up space under the tax and roster spots by moving players such as Dylan Windler or Cedi Osman.

This exception was the Cavs’ one real path to improving the roster in free agency, and they used it on Rubio. That will be painful for much of the season as the Cavs battle for a playoff spot with Rubio on the bench rehabbing. Yet if Rubio comes back at even 80 percent of the player he was last season for the Cavs, he is worth this contract. If he comes back all the way, the Cavs have a very talented player on a value contract for two more seasons.

The partial guarantee on the final season protects them from a complete erosion of his game after the injury as well. It’s not risk-free, and the Cavs are overpaying for whatever production they get this season, but they will more than make that up over the last two years of this deal.

Grade: B+